The current count of banks in the US

As of 2024, there are roughly 4,500 to 4,700 banks operating in the United States, depending on how you count them. The exact number shifts month to month because banks merge, close, or open regularly. The Federal Deposit Insurance Corporation (FDIC), which insures deposits at most banks, tracks this number closely and publishes updates quarterly.

This count includes commercial banks, savings banks, and savings and loan associations — the institutions that take deposits and make loans. It does not include credit unions, which operate under different rules and are counted separately by the National Credit Union Administration (NCUA). There are roughly 4,800 credit unions in the US, so the total number of deposit-taking institutions is closer to 9,000 to 9,500.

The number of banks has been falling for decades. In 1985, there were about 14,000 banks. The decline reflects consolidation — larger banks buying smaller ones — and stricter regulatory requirements that make it harder for small banks to survive. Some regions have far fewer banks than others; rural areas often have only one or two options, while cities have dozens.

Key Takeaways

  • The FDIC counts roughly 4,500 to 4,700 banks in the US as of 2024, a number that changes as banks merge or close.
  • Credit unions are separate institutions with their own regulator (NCUA) and add another 4,800 options for deposit accounts.
  • The number of banks has fallen by two-thirds since 1985 due to consolidation and regulatory costs.
  • Bank availability varies sharply by location — cities have many options while rural areas may have only one or two.

Why the number keeps dropping

The decline in bank count is driven by three main forces: mergers, failures, and the cost of compliance. When a larger bank buys a smaller one, the FDIC count goes down by one. When a bank fails — which happens occasionally during economic downturns — it is either taken over by another bank or its deposits are transferred to a competitor. When a bank closes voluntarily because it cannot meet regulatory costs, that also reduces the total.

Regulatory burden has grown substantially since the 2008 financial crisis. Banks now must maintain higher capital reserves, undergo stress tests, and comply with anti-money-laundering rules that require expensive software and staff. For a small community bank with $100 million in assets, these costs can eat up most of the profit margin. Larger banks spread these costs across billions in assets, so they can absorb them more easily.

Consolidation also reflects customer behavior. As banking moved online, customers no longer needed a branch on every corner. A single large bank with a national network and a mobile app can serve customers across the country, while a small local bank cannot compete on convenience or technology investment.

What counts as a bank versus other financial institutions

The FDIC definition is specific: a bank is an institution that takes deposits and makes loans, and is chartered either by a state or by the federal government. This includes commercial banks (which serve businesses and individuals), savings banks (which historically focused on mortgages), and savings and loan associations (which still exist in some states but are now mostly absorbed into larger institutions).

Institutions that do not count in the FDIC bank total include credit unions, which are member-owned cooperatives regulated by the NCUA; investment banks, which do not take deposits; online-only banks that are chartered but have no branches; and fintech companies that offer payment services but are not chartered as banks. Some online banks like Ally or Charles Schwab Bank are chartered and insured by the FDIC, so they do count in the total even though they have no physical locations.

Regional variation in bank availability

The number of banks per capita varies widely across the country. States like South Dakota and North Dakota have historically had many small banks relative to population, while states like California have fewer banks but much larger ones. This reflects history — some states chartered banks more liberally in the past, and those charters persist even as consolidation happens.

Rural counties often have only one or two banks, sometimes owned by the same holding company. Urban areas typically have dozens of options within a few miles. This matters for people who prefer in-person banking or who live in areas with poor internet service, because branch availability directly affects whether you can use a bank at all.

How the FDIC counts and tracks banks

The FDIC publishes a list called the Summary of Deposits four times per year, which shows every FDIC-insured bank, how many branches it has, and where they are located. This is the official source for the bank count. The data lags by a few months — the most recent published count is usually two to three months old — so the real-time number is slightly different.

The FDIC also maintains a database called BankFind, which is searchable by location and lets you see which banks operate in your area, how many branches they have, and whether they are still open. This tool is useful if you want to know what options exist in a specific town or county.

The difference between bank count and branch count

A single bank can own hundreds of branches. JPMorgan Chase, the largest bank in the US, operates roughly 4,700 branches under its own name plus thousands more under subsidiary brands. So the number of banks (4,500 to 4,700) is much smaller than the number of physical locations where you can walk in and do banking (roughly 70,000 branches nationwide).

Branch count has also fallen sharply as customers shifted to online and mobile banking. In 2008, there were about 100,000 bank branches in the US. The decline reflects both consolidation and the straightforward fact that fewer people need to visit a branch in person. Some banks have closed branches in cities where most customers use ATMs and apps, while keeping branches in rural areas where they are the only option.

Frequently Asked Questions

How do I find out which banks operate in my area?

The FDIC's BankFind tool lets you search by city, county, or ZIP code and shows every FDIC-insured bank with branches in that location. You can also search for credit unions through the NCUA's CO-OP locator. Both tools are free and updated regularly.

Does the number of banks affect how safe my deposits are?

No. FDIC insurance protects your deposits up to $250,000 per account category at any FDIC-insured bank, regardless of how many banks exist or how large the bank is. The number of banks does not change the strength of that may provide.

Why do some states have more banks than others?

Historical chartering rules and state banking laws created different densities of banks across the country. Some states made it easier to charter banks decades ago, and those charters persist. Consolidation happens at different rates in different regions based on local economics and whether large banks are actively buying smaller ones.

Are online banks included in the bank count?

Yes, if they are federally or state chartered and FDIC insured. Banks like Ally, Charles Schwab Bank, and others with no physical branches are counted in the total because they hold a banking charter. Fintech companies that offer payment services but are not chartered banks are not counted.

Is the number of banks still falling?

Yes, but more slowly than in the past. The rate of decline has slowed since 2010 because most of the straightforward consolidation has already happened. The number is expected to continue falling gradually as regulatory costs and technology investment favor larger institutions.